Formal Notice

BAE SYSTEMS PLC
07 June 2006

                                                                     7 June 2006

                             FOR IMMEDIATE RELEASE

                     BAE Systems 20% shareholding in Airbus


Further to the statement on 2 May 2006 regarding the sale of its 20%
shareholding in Airbus, BAE Systems confirms it has served upon EADS a formal
notice of exercise of its Put Option.



Issued by

BAE Systems plc

London


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